Strangles
From MarketPunter
A strangle is an options strategy in which the investor speculate a dramatic price change of the underlying asset while maintaing low risk.
A long strangle position is constructed by purchasing both a put and a call at exercise prices some distance from the current price of the underlying asset.
A short straddle position is constructed by selling both a put and a call at an exercise price some distance from the current exercise of the underlying asset.
